As part of its commitment to continue to improve the liquidity of its mortgage funds for investors, Australian Unity Investments (AUI) has further increased the regular monthly withdrawal facility of the AUI Mortgage Income Trust, offering three percent of the Trust for withdrawals each month.
The increase is effective from 25 August 2010 and investors can set up a regular monthly withdrawal order for the next 12 months. Alternatively, investors can now request in any given month a one-off withdrawal of the full amount of their investment, which will be met on a pro-rata basis in the event of over-subscription.
Mr Mark Pratt, general manager – property, mortgages and capital markets, says that AUI recognises that ensuring investors in its mortgage funds can access their capital is vital, and it has been working hard to make this happen.
“One of our main aims with the mortgage funds over the last two years has been to increase redemption offers for investors whenever possible. At the same time, we have worked hard to ensure that the funds maintained their $1.00 per unit capital value for investors and continued to pay regular, monthly income.
“This latest increase in the amount offered for redemption means that an investor with an average balance of $45,000 in the Mortgage Income Trust in October 2008, who has applied for the maximum amount under each withdrawal offer, will have received 100 per cent of their capital by October this year.
“In addition, they will have received returns of 4.94 percent per annum over the last two years. In fact, mortgage trusts are likely to have been one of the better performers for investors over the course of the last two years.
“Mortgage funds have a strong future and good quality and conservatively managed funds will continue to meet the increasing demand by investors for regular income,” Mr Pratt said.
AUI’s High Yield Mortgage Trust continues to offer a quarterly redemption window, which has been increased to 7.5 percent of account balance per quarter for September. AUI will bring forward the next scheduled quarterly withdrawal offer to November to ensure investors have improved access to their capital before Christmas.
Australian Unity Investments is the funds management arm of financial services, health and retirement living services provider Australian Unity. It has $10.3 billion in funds under management (as at 31 July 2010). Its investment approach is to use its established in-house expertise in property and mortgages while also forming joint ventures and strategic alliances with other organisations with specialist expertise.
Past performance is no indication of likely future performance.
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For further information:
Mark Pratt
Email mpratt@australianunity.com.au
